If you had a million dollars...

[Schneed10]

Originally Posted by saden1

Retire on one million? Come on, you can't retire on that unless you have ten years to go before death.

If I had a million, I'd try to make into two million. I wouldn't touch that money for at least another 10 years.

Actually, depending on how much income you wanted, you really could retire on a million if you could live life simply.

Put that million in a bond fund that returns about 6% on average, and you're grossing $60,000 per year without even having to tap into your principal.

You'd have to buy health insurance on your own which is expensive (but some people do that already). And you'd need to pay taxes on the $60,000 income. But it could be done.

Though I'll agree, you're much better off socking it away for a while, letting it double or triple, and then retiring on it.

[saden1]

Originally Posted by Schneed10

Actually, depending on how much income you wanted, you really could retire on a million if you could live life simply.

Put that million in a bond fund that returns about 6% on average, and you're grossing $60,000 per year without even having to tap into your principal.

You'd have to buy health insurance on your own which is expensive (but some people do that already). And you'd need to pay taxes on the $60,000 income. But it could be done.

Though I'll agree, you're much better off socking it away for a while, letting it double or triple, and then retiring on it.

Whose bonds are you buying at 6% yield? Oh and you can buy tax free bonds but they definitely don't pay 6%.